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On Monday, the 20th, President Donald Trump issued a series of proclamations imposing a 50% tariff on Canadian products.
The White House stated that this is a "measure to address Canada's discriminatory treatment of U.S. products," adding that "through these actions, President Trump is offsetting the burdens and disadvantages the U.S. economy suffers due to Canada's discriminatory practices and is creating a level playing field for major U.S. exports, including automobiles, alcohol, and dairy products."
Each of the three proclamations imposes a 50% tariff on a wide range of Canadian imports, from wine to hockey sticks and cement; however, these do not apply to products already subject to tariffs under Section 232.
These Section 338 tariffs apply to all targeted goods, regardless of whether they were produced in accordance with the United States-Mexico-Canada Agreement (USMCA). Note that Section 338 does not apply to energy or potash commodities.
The new rates will take effect in 30 days pursuant to Section 338 of the Tariff Act of 1930.
These tariffs were imposed in response to actions taken by Canada against U.S.-made products, including automobiles, alcohol, and dairy goods.
The White House noted that from April 2025 to March 2026, Canada's imports of U.S. automobiles decreased by approximately 22%, or $5.6 billion, compared to the same period in 2024-2025, pointing out that "this is a phenomenon resulting from automobile exports from other countries filling the demand previously met by U.S. exports."
The White House also noted that "from March 2025 to February 2026, Canada's imports of U.S. alcohol decreased by approximately 81%, or $582 million, compared to the same period in 2024-2025."
Regarding dairy products, Canada has trade agreements with both the U.S. and the European Union (EU), but it has set much stricter tariff-rate quotas for U.S. cheese compared to the tariff-rate quotas imposed on similar cheese imported from the EU.
The White House stated, "Over the past year and a half, China and Canada are the only two countries that have chosen to retaliate rather than negotiate with the U.S. regarding President Trump's tariffs," adding that "the Section 338 tariffs imposed today will make the United States wealthier and stronger, and will offset the burdens and disadvantages faced by U.S. commerce due to Canada's discriminatory treatment."
U.S. NNP = Representative Reporter Hong Sung-gu / Special Correspondent for this publication NNP info@newsandpost.com
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